FOCUS APPARELS Vs. INTELLIGENCE INSPECTOR

JUDGEMENT

(1.) THE petitioner is a registered dealer under the KVAT Act on the rolls of the third respondent as borne by Ext.P1 Certificate of Registration and is dealing with textiles and readymade garments. In the course of the business, the petitioner sold some items to a dealer by name M/s. Dreams, Kadappakkada JN, Kollam as per Ext.P2 invoice dated 12.07.2012 and the goods were entrusted with a Courier to be suppled to the consignee, who is also a dealer under the KVAT Act. In the course of transit, the first respondent intercepted the goods and issued Ext.P4 notice under Section 47(2) of the KVAT Act, doubting evasion of tax and demanding security to an extent of Rs.7,370/-(Rupees seven thousand three hundred and seventy), which made the petitioner to approach this Court by filing the writ petition.

(2.) THE only insinuating circumstance mentioned in Ext.P4 is that, copy of invoice was found placed inside one of the bundles and it is not a proper document in terms Rule 58(11) of the KVAT rules, which made the first respondent to doubt the transaction.